From David Smith MP - May/June eNews

A key focus in this Budget and across the four years of the Albanese Labor Government has been providing lasting and responsible cost of living help to all Australians.

A key feature of the Budget is a new $250 Working Australians Tax Offset to be paid every year to all workers, including 260,000 Canberrans. It will begin from the second half of 2027 and be paid each year, ongoing and automatically in workers' tax returns.

This offset represents the most meaningful, permanent increase to the effective tax‑free threshold since Labor last increased it more than a decade ago.

Another feature of workers' tax returns from 2027 will be the $1,000 instant tax deduction. This will make tax time simpler for around 140,000 Canberra workers who will no longer need to keep receipts and will mean an average tax saving of $205. Taxpayers claiming more than $1,000 in work‑related deductions will still be able to do so in the usual way.

Our Government cut taxes two years ago, we’re cutting them again this year, and next year too. Altogether our five different tax cuts will benefit the average worker by up to $2,816 in 2028.

Averaged out over the year, our three tax cuts, instant deduction and the new offset are the equivalent of up to $54 back in the average earner’s pocket each week.

More information on tax cuts is available, including the tax cut calculator to estimate how the tax cuts will benefit you.